Before one can begin writing a charter one must consider the

Before one can begin writing a charter, one must consider the most appropriate organization for the project. You are the project manager for a company that integrates custom data solutions for large corporate enterprises. This project will span two or three years and will cost tens of millions of dollars. This is a large, very involved project. Which of the five organization structures is most suitable? Why?

Solution

The project is large and requires commitment of resources in terms of money and time.

A divisional organizational structure is used in large corporations operating in several countries and have different type of products. It is suitable as custom data solutions will make such companies flexible and agile. Custom data solutions will meet their requirements to simplify the complex maze of information owing to the size of the organization.

The second structure is the matrix structure. It is a mix or a hybrid of divisional and functional organizational structure. Here also, custom data solutions will make such companies flexible and agile.

The third structure is the line and staff organizational structures. Most large organisations belong to this type of organisational structure. These organisations have direct, vertical relationships between different levels and also specialists responsible for advising and assisting line managers. Custom data solution will help in resolving the conflict between line and staff personnel.

The fourth structure is flat structure. These type of organizations tend to become more complex and hierarchical as and when they grow in size. This leads to an expanded structure, with more levels and departments. Custom data solutions will help these organizations make informed and rational decisions in their growth phase.

The last structure is the network structure. Resources in terms of time of managers in such organizations is spend on managing external relations. Custom data solutions helps it manage the external realtions with its various stakeholders more productively.